Nabin Bank Of Nepal Introduction

An understanding of the financial market is important to everyone. All have their specific goals to take benefits from the efficient functioning of the financial system. In fact, the prosperity of a nation and their people depends much on the manner how financial market plays a role in the transfer of funds by integrating the various sectors of the economy. Taking the case from our own country, financial system is slowly bringing significant macro-economic policy transformation effects. It is because the government's role is providing vital in the growth of financial institutions as well as financial market. Altogether, there exist at present more than 20 commercial banks. There are above17 development banks. Then in the chain, financial system covers 59 financial companies, 18 insurance companies, 34 saving and credit cooperation with NRB license and 44 NGO's licensed to performed limited banking function under the supervision of NRB. There are numerous other cooperatives with multipurpose functions and characteristics registered under department of cooperatives.

The scope and coverage of financial of financial market and institutions is not merely confined to the banking system of the country. Significant developments have taken both in national and international financial system. Going beyond the function and practices of banks, financial system has given much needed attention to the growth of other non-banking financial institutions. They tend to influence the proper functioning of the financial market. In our own country, the short financial history shows to what extent there has been major dominance of the single commercial bank, namely, Nepal Bank Limited for a number of consecutive years to perform the major banking function. However it is only after independence that there had been initiation by the government to develop a number of financial institutions such as Nepal Industrial Development Bank, Agriculture Development Bank (ADB/N), Government Owned National Commercial Bank and National Insurance Corporation. At the same time, cooperation was established through the efforts of the government. In addition, branches of local commercial banks and ADB/N have been developed.